Capital Group

ETF Data Product Manager

Optimizing ETF data analytics for Capital Group's $31B+ AUM product suite, focusing on data pipelines, market transparency, and operational efficiency.

ROLE

Data Product Manager at Capital Group

Lead the development and optimization of ETF data analytics infrastructure while managing a comprehensive suite of products worth $31 billion in AUM. Successfully integrated 9 distinct data sources while building robust ETL pipelines that enhanced market transparency and operational efficiency.

ETF AnalyticsData Pipeline ManagementPython & SQL

867

Files Processed

24+

Internal Reports

Dashboards Created

Capital Group ETF Dashboard

Comprehensive insights into Capital Group's ETF product lineup and performance.

Capital Group's ETF Journey

Capital Group's entry into the ETF market represented a strategic expansion of its product lineup, combining the company's legacy of active management with the operational infrastructure required for ETF innovation.

Launch Timeline

Wave 1 - February 2022

Initial suite of six equity ETFs established Capital Group's ETF presence.

Wave 2 - October 2022

Expansion with fixed-income offerings including Multi-Sector ETF, Municipal Income ETF, and Short Duration ETF.

Wave 3 - September 2023

Added Dividend Growers ETF, International Equity ETF, Core Bond ETF, Core Balanced ETF, and Short Duration Municipal Income ETF.

Wave 4 - June 2024

Launch of Conservative Equity ETF, International Core Equity ETF, Global Equity ETF, New Geography Equity ETF, Short Duration High-Income ETF, and International Bond ETF.

ETF Growth

Over two years, Capital Group launched 0 ETFs, representing over $0 billion in AUM.

Total ETF Products

21New Product Line

Across equity and fixed income

Total Sales

$31B+Growing

Since initial launch

Market Coverage

99.9%High Visibility

Trading activity captured

Data Latency

30sFrom 15min

Near real-time processing

ETF vs. Mutual Funds Comparison

Feature	ETFs	Mutual Funds
Trading	Intraday on exchanges	End-of-day at NAV
Pricing	Market price (may vary from NAV)	NAV calculated after market close
Transparency	Daily holdings disclosure (typically)	Quarterly holdings disclosure (typically)
Tax Efficiency	Generally more tax-efficient due to in-kind creation/redemption	Less tax-efficient due to cash transactions
Minimum Investment	One share	Varies (often $1,000+)
Data Infrastructure	Multiple third-party sources required	Centralized transfer agent data

ETF Product Portfolio

Capital Group's comprehensive suite of ETF offerings across equity and fixed income markets, as of May 20, 2025.

Primary Market Process

Understanding ETF creation and redemption mechanisms.

ETF Creation & Redemption Process

Creation Process

Authorized Participants (APs), often large financial institutions, work directly with the ETF issuer to create new ETF shares.

APs deliver a "creation basket," which consists of the securities underlying the ETF (or equivalent cash). In return, they receive an equivalent number of ETF shares at the net asset value (NAV).

Redemption Process

APs redeem ETF shares by returning them to the issuer. In exchange, they receive the underlying securities or cash at the NAV.

This mechanism ensures the ETF's supply matches market demand.

ETF Creation and Redemption Process Diagram

Interactive ETF Process

NAV Calculation

How NAV is Calculated

The Net Asset Value (NAV) represents the per-share value of the ETF and is calculated daily.

NAV = (Total Assets - Total Liabilities) / Shares Outstanding

NAV vs. Market Price

ETFs can trade at a premium or discount to their NAV, though arbitrage mechanisms generally keep these differences small.

Secondary Market

How ETF shares are traded on exchanges between investors.

Secondary Market Trading

Retail and institutional investors buy and sell ETF shares in the secondary market through exchanges via brokers, similar to trading individual stocks.

Prices on the secondary market are determined by supply and demand, fluctuating throughout the trading day.

Unlike mutual funds, which settle at end-of-day net asset values (NAVs), ETFs require real-time price discovery mechanisms to maintain parity between market prices and underlying assets.

Arbitrage Mechanism

Role of APs and Market Makers

APs and market makers use arbitrage to ensure the ETF's market price aligns with the NAV.

If the ETF trades above its NAV, APs create shares to increase supply, lowering the price.
If it trades below, they redeem shares to decrease supply, raising the price.

This dual-market structure ensures liquidity, efficient pricing, and a seamless investment vehicle for a wide range of participants.

ETF Trading Volume by Venue

ETF trading activity occurs across multiple venues, requiring comprehensive data integration to achieve complete market transparency.

ETF Data Management

Comprehensive overview of ETF data infrastructure, challenges, and solutions.

Data Management Challenges

Fragmented Ecosystem

Data must be sourced from multiple providers, including exchanges, authorized participants, clearing houses, and fund accountants.

Intraday Trading

Unlike mutual funds, ETFs trade throughout the day, requiring real-time data processing capabilities.

Creation/Redemption Activity

Transactions between authorized participants and the fund require specialized tracking.

Market Price vs. NAV

Both metrics must be tracked and reconciled, with premium/discount analysis.

Volume Discovery

Secondary market trading happens across multiple venues, requiring consolidation.

No Transfer Agent

Unlike mutual funds, ETFs lack a centralized transfer agent for comprehensive data tracking.

Data Integration Architecture

Data Ingestion Layer

APIs and file-based integrations with multiple data providers.

Normalization Engine

Standardizes data formats from disparate sources.

Validation Framework

Multi-level checks ensuring data accuracy and completeness.

Master Data Management

Centralized repository of ETF reference data.

Analytics Layer

Provides insights and visualization capabilities.

Distribution Services

Delivers processed data to downstream consumers.

ETF Data Sources

Data Source	Frequency	Primary Use	Coverage
Broadridge	Monthly	Trade Matching, Asset reporting, Market Intel	95% of Capital Group ETFs
State Street (NAV)	Daily	Accounting, Asset reporting	100% of Capital Group ETF AUM
State Street (UCF)	Daily	Accounting, Market Demand Analysis	100% of CG ETF Shares Creation/Outstanding
Fidelity	Daily	Detailed transaction analysis	Fidelity Platform only

Case Study: Achieving 99.9% Market Transparency

Challenge

With the launch of Capital Group's first ETFs in February 2022, the firm needed comprehensive visibility into trading activity across all market venues. Unlike mutual funds, which trade once daily at NAV, ETFs trade continuously throughout the day across multiple exchanges and alternative trading systems (ATS).

Solution

Established direct feeds from major exchanges (NYSE, NASDAQ, CBOE)
Integrated with consolidated tape providers for comprehensive market coverage
Developed a custom reconciliation engine to identify and resolve data discrepancies
Built a real-time dashboard for monitoring trading activity across venues

Results

Achieved 99.9% visibility into all ETF trading activity across market venues
Reduced data latency from 15 minutes to near real-time (30 seconds)
Identified and addressed data gaps in dark pool and ATS reporting
Enabled comprehensive trading analytics for the investment team

Asset Allocation by Fund Type

Total ETF AUM

$0B

Number of ETFs